What is Sales Tax?
The Sales Tax Calculator helps you determine the total cost of a purchase including state and local sales tax in the United States. Unlike India's unified GST or Europe's VAT, US sales tax varies dramatically by state, county, and even city — ranging from 0% in some states to over 10% in certain cities.
Five states have no state sales tax: Oregon, Montana, New Hampshire, Delaware, and Alaska (though Alaska allows local taxes). The highest combined rates are in Louisiana (up to 11.45%), Tennessee (up to 9.75%), and Arkansas (up to 11.63% with local taxes).
Unlike VAT which is included in the displayed price, US sales tax is added at checkout — so a $99.99 item may cost $108.24 at the register if your combined rate is 8.25%. This calculator helps you know the real cost before buying.
Sales tax applies to most tangible goods but many states exempt groceries, prescription medications, and clothing (some states). Online purchases are subject to sales tax since the 2018 Wayfair decision.
Formula
Sales Tax Amount = Price × Tax Rate / 100 Total Price = Price + Tax Amount
To find pre-tax price from total: Pre-Tax Price = Total / (1 + Tax Rate / 100)
Example — $500 purchase at 8.25% tax rate: Tax = $500 × 8.25/100 = $41.25 Total = $541.25
Common state sales tax rates (state only, 2025): - California: 7.25% (+ local up to 10.75%) - Texas: 6.25% (+ local up to 8.25%) - New York: 4% (+ local up to 8.875%) - Florida: 6% (+ local up to 8.5%) - Illinois: 6.25% (+ local up to 11%) - Oregon: 0% - Montana: 0%
How to use this Sales Tax Calculator?
1. Enter the pre-tax price of your purchase. 2. Enter the combined sales tax rate for your location (state + local). Look this up on your state's tax authority website or use the Tax Foundation's rate tables. 3. See the tax amount and total cost.
Pro tip: For expensive purchases, buying in a lower-tax state or online (from a retailer without nexus in your state) can save significant money. A $50,000 car in Portland, OR (0%) vs Seattle, WA (10.25%) saves $5,125.